Manhattan Scientifics Acquires Metallicum, Inc.

LOS ALAMOS, NM | Posted on July 2nd, 2008

Manhattan Scientifics (Pink Sheets: MHTX) announced today that it has acquired Metallicum, Inc. andits licensed patented technology. The announcement came from MHTX's affiliateAlbuquerque factory, where New Mexico Senator Jeff Bingaman said, "I believethe merger of Manhattan Scientifics with Metallicum will have a very positiveeffect on New Mexico and the country. The lightweight nano metals the companywill produce will have the potential to revolutionize a whole range ofindustries, from transportation to health care. This merger is another greatexample of how our national laboratories can partner with the private sectorand create vital jobs while meeting some of our nation's most pressing needs."

The transaction includes all of Metallicum's licensed intellectualproperty related to the design and high-volume nano-fabrication ofnano-structuring metals for medical components as well as for transportationapplications. The Company intends to establish manufacturing partnerrelationships with major Fortune 500 metals companies. "Our business planincludes strategic partnering with significant customers in the medical device& prosthetics industries as well as in auto, truck, & aircraft manufacturingindustries," said Marvin Maslow, founder & chairman emeritus of ManhattanScientifics. "We are working towards regaining our full-reporting SEC statusand trading on the OTC board."

Company CEO Manny Tsoupanarias commented, "With the acquisition ofMetallicum, Manhattan Scientifics is re-inventing itself as a 'green company.'This move is intended to enable us to accomplish our goal of profitability forour shareholders."

The Metallicum division will produce and license the super strong metalsusing nano-technology developed by scientists at Los Alamos NationalLaboratory in conjunction with their colleagues in Russia. "The advantages areeasy to understand because a stronger metal means using less material for thesame purpose. Less material translates to lighter weight and reducedenvironmental impact. For example, a lighter weight car uses less gas," saidTerry Lowe, Ph.D., co-inventor of the nano-structured metals process,president and chief scientist of the Metallicum division. Lowe continued, "Alightweight industrial metal, like aluminum, can be manufactured to have thestrength of steel. The technology is expected to trim thousands of pounds fromairplanes and hundreds of pounds from cars without sacrificing structuralstrength or adding significant cost. The fuel savings to the American publicwill be significant as will the number of jobs created for Americans,particularly in New Mexico."

Dr. Lowe added, "A big airplane like a B747 has about 100,000 pounds oftitanium in its construction. We believe our nano metals could reduce thatweight by about 5% or 5,000 pounds."(1)

The nanostructured metals have wide implications for use in the medicaldevice and prosthetics industries including dental implants, replacements forhips, shoulders, knees and cardio vascular stents. Clinical studies havealready shown that bone integrates with these new metals up to 20 timesfaster. This means faster healing after surgery and ultimately longerlifetimes for nano-structured metals implants. Maslow added, "People areliving longer and we need new parts. The biological acceptance of NanoTitanium by the human body is stunning."

Donald J. Sandstrom, a member of the MHTX science team and former seniorleader of Materials Science and Technology Division at the Los AlamosLaboratory added, "New technologies are the life blood of the Americansociety. During the most recent decades the technological achievements inelectronics, beginning with the transistor, and the computer have all beendriven by some new material, or understanding of materials behavior that hasallowed these advances to be made. We are now poised on the edge of anotherexceptional materials breakthrough. Nanomaterials promise to lead the way inthe improvement in structural materials, materials for wear resistance, andmost recently, biomaterials and nano-structured titanium will lead the way!"

The nano-structuring process was developed through a U.S. Department ofEnergy program that brings together its national laboratories, U.S. companies,and FSU institutes to redirect the efforts of scientists who formerly workedon nuclear weapons and related military technologies.

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About Manhattan Scientifics, Inc.Manhattan Scientifics, Inc., www.mhtx.com, is located in NewMexico, New York, and Montreal. It is developing and plans to acquiretechnologies in a variety of environmentally friendly energy and otherpeople-friendly industries. Copies of Manhattan Scientifics' press releasesand related investor information may also be found atwww.hawkassociates.com.

This press release contains forward-looking statements. Suchforward-looking statements are subject to a number of risks, assumptions anduncertainties that could cause the Company's actual results to differmaterially from those projected in such forward-looking statements.Forward-looking statements speak only as of the date made and are notguarantees of future performance. We undertake no obligation to publiclyupdate or revise any forward-looking statements.